Bitcoin options data shows whales betting big — Will $50K BTC come in January?
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Bitcoin put options should not be dismissed (yet)
The open interest in Jan. 26 call options surpasses that of put options on Deribit by a factor of 2.6, signaling a greater demand for neutral-to-bullish strategies. While the allure of the $50,000 call options is undeniable and holds the potential to drive Bitcoin’s price higher, it’s essential to remember that the expiration price is determined solely at 8:00 UTC on Jan. 26, making it premature to expend substantial efforts at this stage.
For Bitcoin bears, the ideal scenario hinges on the ETF proposal being rejected, although the SEC may request additional time to reach a final decision, especially considering recent amendments to many filings. Presently, industry experts, including senior ETF analysts at Bloomberg, estimate a 90% likelihood of approval in 2024, a projection extending beyond January.
With 49 days remaining until the Jan. 26 expiry, prematurely dismissing the 97% of put options as worthless seems unwarranted. Additionally, bears have the regulatory landscape on their side, as the trial involving Binance and its founder, Changzeng Zhao, has only just commenced.
This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
